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Chapter 21 - Monetary Policy and Central Banking - test

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Subject: 
Economics
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Tags: 
economics
macroeconomics
monetary policy
inflation
money
Economic theories
Money supply
Central bank
Supply and demand
Keynesian Economics
Expansionary monetary policy
Federal Reserve System
Business

Chapter 21 - Monetary Policy and Central Banking Answer: c Which of the following is not one of the basic functions of money? Store of value Unit of account Medium of barter Means of payment Answer: b Which of the following best describes ?money,? as the term is used in economics? The root of all evil A liquid asset A means of measuring velocity A unit of additivity Answer: d Which of the following items is included in M2, but not in M1? Currency Travelers checks Treasury bills (T-bills) Savings deposits Answer: d Which of the following represents a part of the U.S. money stock (M2)? A quarter received by a child for doing the dishes A corporation?s deposit of $1 billion in Bank of America

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